RUSSIAN FEDERATION FEDERAL LAW on State support of cinematography of the Russian Federation adopted by the State Duma on July 17, 1996 year approved by the Federation Council of the year August 7, 1996 (as amended by the federal laws from 22/08/2004, no. 122-FZ; from 31.12.2005. N 199-FZ; from: N 31-FZ; from 26.06.2007 N 118-FZ; from 24.07.2007 N 218-FZ; from 30.12.2008 N 308-FZ; from 27.12.2009 N 375-FZ; from December 11, N 191-FZ; from 28.12.2013 N 396-FZ; from 05.05.2014 N 101-FZ; from 01.12.2014 N 419-FZ) Cinematography of the Russian Federation (hereinafter-cinematography), as an integral part of culture and art, should be maintained and developed with the support of the State. This federal law determines the main directions of activity of the State for the preservation and promotion of cinematography and establishes the procedure for State support of cinematography. Chapter i. General provisions article 1. Principles of State policy in the field of cinematography, the State policy in the field of cinema is based on the following principles: recognition of cinematography of the area of art and culture, a sine qua non for the existence of which is to develop creative, educational, industrial, technical, scientific and information base; the responsibility of the State for the preservation and development of cinematography; the establishment of population conditions for access to the works of cinematography. Article 2. Law on State support for cinematography Law on State support for cinematography consists of the basic legislation of the Russian Federation on culture, this federal law and other federal laws and other regulatory legal acts of the Russian Federation, as well as of laws and other normative legal acts of the constituent entities of the Russian Federation. (As amended by federal law from 27.12.2009 N 375-FZ)(Article in the Editorial Office of the Federal law on 31.12.2005. N 199-FZ), Article 3. Basic concepts for the purposes of this federal law uses the following concepts: film-area arts and culture, which includes the combination of professional, creative, production, scientific, technical and educational activities aimed at the creation and use of cinematography; film-audiovisual work created in art, current affairs documentary, non-fiction, academic, animation, television or any other form of communication through creative design, consisting of images recorded on movie film or other types of media and United in a thematic whole frames linked serially and designed to read by using the appropriate technical devices. The film is of a duration of not less than 52 minutes was the full-length film. The film duration is less than 52 minutes is a short film; kinolitopys-regular shooting documentary stories that reflect specific (mostly going) features of time, place, circumstances and perspective on film production; movie rental movie distribution in any form or by any means; film-public display of film, done in cinema, broadcast, cable, satellite and other technical means; the film's producer is an individual or a legal entity that has taken the initiative and the responsibility for the financing, production and film rental; distributors of the film-the physical or legal person who has the right to film and conducting or organizing his rent; demonstrator of the film-a natural or legal person carrying out the screening of the film; a cinema is a place in which to film; cinematography organization-the Organization, irrespective of the legal form and form of ownership, where the main activities are the production of the film; production of film archiving; reproduction of the film; film rental; screening of the film; restoration of the film; maintenance of cinema; production of films; manufacturing equipment; implementation of works and provision of services for the production of the film, film archiving (motion picture equipment rental, renting halls, cinemas, costumes, scenery construction, manufacture of pastižerskih products, makeup, props, gaming equipment, special effects, film processing, film sound design and other conditions); education, science, research, publishing, advertising and promotional activities in the field of cinematography; keeping your movie; storage of raw material of film archiving; film-set documents, based on which the decision on State financing of national film production; the raw materials of the film negative, kontratip, a copy of the film, the original magnetic soundtracks dubbing, music, noise, videofonogramma-master, CD and other necessary for replication of the film in any material form; the raw materials of film archiving-negative, videofonogramma-master, the original magnetic soundtracks replicas and noises and other necessary for the production and printing of the film in any material form; reproduction of movie-making one or more copies of a movie (circulation) in any material form; film production-film, movie, raw materials, starting materials kinolitopys film archiving copies of the film or part of the circulation of the film; cinema equipment-equipment, technical equipment and spare parts, used in the production of the film, the production of film archiving, replicating film, movie rentals, movie showing, execution of works and rendering services for the production of the film, the production of film archiving; film-raw materials used in the production of the film, the production of film archiving, replicating the film, restoring the film, movie rentals, movie showing, execution of works and rendering services for the production of the film, the production of film archiving, production equipment; administration of cinematography-head, Deputy head, Board members, Chief Editor, Chief Engineer, Chief Accountant; in-house creative cinematography organization-people of creative professions (Director, cinematographer, Art Director, animator, painter, costume designer, artist, make-up artist, sound engineer, Editor, movie Editor, music editor, film director of the movie), consisting in labor relations with the Organization of cinematography (labor collective members and persons equated with them); freelance creative cinematography organization-people of creative professions (writer, composer, actor, actress-artist main roles), not in an employment relationship with the Organization of cinematography; in-house production organization member of labour collective cinematography organization of the cinematography and persons equated with them, except for those in full-time creative composition or administration organization of cinematography in accordance with this federal law; Unified Federal automated information system shows details of films in cinemas (hereinafter also-unified information system)-a set of databases of the Federal Executive Body in the field of cinema information about showing movies in cinemas and the processing of information technologies and technical means. (The paragraph is supplemented by federal law from 27.12.2009 N 375-FZ), Article 4. National film is the national film if: film producer-a Russian citizen or legal person duly registered on the territory of the Russian Federation; most of the authors of the film-the citizens of the Russian Federation; (As amended by federal law from 27.12.2009 N 375-FZ), the crew of the film (directors, directors, cameramen, sound engineers, painters, artists, directors, costume, film editors, actors-artist main roles) is not more than 30 per cent of persons who are not citizens of the Russian Federation; the movie is filmed in Russian or other languages of the peoples of the Russian Federation, except in cases where the use of a foreign language is an integral part of the artistic intent; (As amended by federal law from 27.12.2009 N 375-FZ) of not less than 50 per cent of the total works estimated prices for movie production, reproduction of movie film and movie show rentals is carried out by the organizations of the cinematography, registered in the established order on the territory of the Russian Federation; foreign investment in film production do not exceed 50 per cent of the estimated cost of the film; (As amended by federal law from 27.12.2009 N 375-FZ) is not used in the movie swearing. (The paragraph is supplemented by federal law from 05.05.2014 N 101-FZ)

As national film also discusses the film, whose production is carried out in accordance with international treaties of the Russian Federation, together with producers who are foreign citizens, persons without citizenship, foreign legal entities. (As amended by federal law from 27.12.2009 N 375-FZ), chap. II. MEASURES of the STATE SUPPORT of CINEMATOGRAPHY Article 5. The Federal Executive authority authorized to perform State support of cinematography of the powers of the State support of cinematography shall be entrusted by the Government of the Russian Federation to the federal body of executive power (hereinafter referred to as the Federal Executive Body in the field of cinematography), which interacts with the executive authorities of the constituent entities of the Russian Federation. The position of the federal body of executive power in the field of cinematography shall be approved by the Government of the Russian Federation. The basic directions of activity of the federal body of executive power in the field of cinematography are: development of projects of laws and other normative legal acts in the field of cinematography; development and implementation of Federal programs as they relate to the conservation and development of cinematography; participation in the development of the federal budget in part the costs of filmmaking; coordination of infrastructure development to cinematography; maintenance of the State Register of films and the issuance of certificates for them rolling in order to regulate the rent movies and films on the territory of the Russian Federation of the protection of rights holders in the film, the audience age determination in the manner prescribed by the Government of the Russian Federation; (As amended by federal law from 27.12.2009 N 375-FZ) development and adoption of regulations about the national film; issuance of the certification of national film; promoting education in the field of cinematography, film science and training of creative and technical skills; development of a system of State statistical reporting in the field of cinematography; (As amended by the Federal law of 03.03.2006 N 31-FZ) development of international relations in the field of cinematography, representation in international organizations, commissions, participation in meetings, conferences and other events; on behalf of the Russian Federation the powers of the holder of the information contained in the databases of a unified information system; (The paragraph is supplemented by federal law from 27.12.2009 N 375-FZ) exercise the powers of the holder of rights to the database unified information system; (The paragraph is supplemented by federal law from 27.12.2009 N 375-FZ) ensuring implementation and functioning on the territory of the Russian Federation of a unified information system; (The paragraph is supplemented by federal law from 27.12.2009 N 375-FZ) access to information contained in databases of a unified information system; (The paragraph is supplemented by federal law from 27.12.2009 N 375-FZ) approval of the procedure for the selection of national films that are subject to mandatory subtitrirovaniû and tiflokommentirovaniû at the expense of the federal budget, and the implementation of such screening. (The paragraph is supplemented by federal law from 01.12.2014 N 419-FZ) Article 5-1. Rolling film certificate Implementation on the territory of the Russian Federation of film and (or) film without rolling the identity, establishing, inter alia, how to use film, is not allowed, except for broadcast on broadcast, cable, satellite television film created for this show, and the show at the territory of the Russian Federation International Film Festival film imported from abroad for this show. Rolling sample certificate for the film is approved by the Federal Executive Body in the field of cinematography. Implementation on the territory of the Russian Federation of film and (or) film without rolling the movie identity or breach in the rolling method of identity using film shall entail liability in accordance with the legislation of the Russian Federation. Rolling film certificate shall not be issued if the film contains material which violate the legislation of the Russian Federation on combating terrorism and extremist activities, contains information about the ways and methods of design and manufacture of narcotic drugs, psychotropic substances or their precursors, materials promoting pornography, cult of violence and cruelty, the film uses hidden inserts and other techniques and methods of disseminating information, influencing the subconscious of people and (or) having a harmful effect on their health in case of violations established by the Government of the Russian Federation order the issuance of rolling film permits and certain other federal cases. The order of extradition, refusal of issuance and withdrawal of permits sets the movie rolling, the Government of the Russian Federation. Rolling film certificate shall not be issued if the film contains foul language.(Article supplemented by federal law from 05.05.2014 N 101-FZ), Article 6. State support of cinematography of the Forms of the State support of cinematography are: adoption of laws and other normative legal acts in the field of cinematography; partial public financing, production and display of national films; (As amended by federal law from 24.07.2007 N 218-FZ) full public financing of film archiving; (Paragraph five ineffective federal law from 22/08/2004, no. 122-FZ) State funding for costs associated with the implementation of a unified information system operator functions. (The paragraph is supplemented by federal law from 27.12.2009 N 375-FZ) primary measures of State support of cinematography are: establishment of national films, including for children and youth, and national films-Debuts; preservation and development of material and technical base of cinematography; creating conditions for and display of national films; the implementation of educational and scientific-technical programmes; holding film festivals and other cultural events; participation in international film festivals and other international cultural events. All organizations of cinematography are eligible for State support. (Part four of lapsed federal law from 22/08/2004, no. 122-FZ) State authorities of the constituent entities of the Russian Federation may participate in the implementation of measures to provide State support for cinematography. (Part is supplemented by federal law from 31.12.2005. N 199-FZ) Article 6-1. Unified Federal automated information system shows details of films in cinemas unified information system is designed to ensure the protection of exclusive rights in audiovisual works, the rights of consumers and to ensure a federal body of executive power in the field of cinematography of reliable and timely information on the State of the internal market rent movies. Demonstrator of the film, performing the surcharge in a cinema film, is required to provide in a single information system information from each sold in conducting the screening of the film in a cinema ticket on the title of the movie theater, the date, time, title, session title, movie room rolling identity room or cinema name, room number, room space, ticket price, the discount on the ticket. This information must match the information contained entirely in the ticket, the shape being approved in the prescribed manner by the Federal Executive Body in the field of cinema as a form of accountability and used in the movie in a cinema hits. Demonstrator of the film independently and at their own expense carries out the acquisition, installation, connection and use of equipment, software and hardware, providing ticket sales and automatically transfer the information contained in the ticket, a common information system regarding each sold when conducting screenings of the film in a cinema ticket. Operator functions of a unified information system (hereinafter referred to as the system operator) performs a person determined by the Federal Executive Body in the field of cinematography in the manner prescribed by the legislation of the Russian Federation on the contract system in the area of procurement of goods, works and services for public and municipal needs. (As amended by the Federal law of 28.12.2013 N 396-FZ), the system operator undertakes activities for the exploitation of a unified information system, including the processing of the information in this database system from demonstrators as well as the development of software for these purposes.

Financial support to perform the functions of a system operator is carried out within the budget allocated federal funds for State support of cinematography, stipulated by the federal body of executive power in the field of cinema based on price the prisoner Government contract (Agreement) for the provision of the relevant services. (As amended by the Federal law of 28.12.2013 N 396-FZ) functioning of a unified information system, the frequency of giving this system provided for under the present article information and conditions for the provision of the information contained therein shall be established by the Government of the Russian Federation. (As amended by the Federal law of December 11, N 191-FZ) Requirements to hardware, software, means of information protection (including from unauthorized access), used in the operation of a unified information system and when you pass demonstratorom movie information in accordance with this article, the procedure for the exchange of information between the film and the demonstratorom system operator approved by the Federal Executive Body in the field of cinematography. The failure of demonstratorom movie information provided for under the present article or provision of such information is not in full or garbled shall entail liability in accordance with the legislation of the Russian Federation.(Article supplemented by federal law from 27.12.2009 N 375-FZ), chap. III. STATE FINANCING of CINEMATOGRAPHY Article 7. The conditions and procedure for State financing of cinematography in one of the forms of the State support of cinematography is its partial government funding. State funding is based on the public contract by the Federal Executive Body in the field of cinema with the producer, representatives of the company, demonstratorom national film in the manner prescribed by the legislation of the Russian Federation on the contract system in the area of procurement of goods, works and services for public and municipal needs, within the limits of the federal budget provided for filmmaking for the corresponding financial year, or through grants from the federal budget in the cases and in accordance with the envisaged by the Federal law on the federal budget for the financial year and the planning period and adopted in accordance with the regulations of the Government of the Russian Federation. (As amended by the Federal law of 28.12.2013 N 396-FZ) public funding cannot be used for any other purpose than the purposes envisaged the State contract, concluded between the Federal Executive Body in the field of cinematography and producer, representatives of the company, demonstratorom national film, federal law and (or) normative legal acts of the Government of the Russian Federation adopted in accordance with the Federal law on the federal budget for the financial year and for the plan period.(Article in Edition by federal law N 308-FZ) Article 8. Public funding of national film production the Federal Executive Body in the field of cinematography shall decide on the allocation of resources to national film production within the federal budget provided for filmmaking for the respective fiscal year. (As amended by federal law from 24.07.2007 N 218-FZ) public funding of national film production, as a rule, may not exceed 70 per cent of the estimated cost of its production. In exceptional cases, taking into account the artistic and cultural significance of film project the Federal Executive Body in the field of cinematography takes the decision on State financing of national film of up to 100 per cent of the estimated cost of its production. Public funding of national film production is carried out on the basis of a Government contract, concluded with the producer on national film production in accordance with the legislation of the Russian Federation on the contract system in the area of procurement of goods, works and services for public and municipal needs either through subsidies from the federal budget in the cases and in the manner envisaged by the Federal law on the federal budget for the financial year and the planning period and adopted in accordance with the regulations of the Government of the Russian Federation. (Part is supplemented by federal law from 24.07.2007 g. N 218-FZ; (As amended by Federal Law Gazette N 308-FZ; 28.12.2013 N 396-FZ) Article 9. Public funding of national film rental the Federal Executive Body in the field of cinematography shall decide on the allocation of funds to hire prokatčiku (print copies, subtitles for, advertising and otherwise) national film intended for display on the territory of the Russian Federation, within the limits of the federal budget provided for filmmaking for the respective fiscal year. (As amended by federal law from 24.07.2007 N 218-FZ) public funding for the national rental movie may not exceed 70 per cent of the estimated cost of its products. Public funding of national film rental, designed for display on the territory of the Russian Federation shall be exercised on the basis of government contract concluded in accordance with the legislation of the Russian Federation on the contract system in the area of procurement of goods, works and services for public and municipal needs either through subsidies from the federal budget in the cases and in the manner envisaged by the Federal law on the federal budget for the financial year and the planning period and adopted in accordance with the regulations of the Government of the Russian Federation. (Part is supplemented by federal law from 24.07.2007 g. N 218-FZ; (As amended by Federal Law Gazette N 308-FZ; 28.12.2013 N 396-FZ), Article 10. State funding for the participation of national film festival in the Federal Executive Body in the field of cinematography is implementing public financing the participation of national film festival in the category "a" on the basis of State contract concluded in accordance with the legislation of the Russian Federation on the contract system in the area of procurement of goods, works and services for public and municipal needs either through subsidies from the federal budget in the cases and in accordance with the envisaged by the Federal law on the federal budget for the financial year and the planning period and adopted in accordance with the regulations of the Government of the Russian Federation. (As amended by the federal laws on 24.07.2007 N 218-FZ; from 30.12.2008 N 308-FZ; from 28.12.2013 N 396-FZ) public funding for the participation of national film in international film festival provides of up to 100 per cent of the estimated cost of its participation. Article 11. Storage of raw materials of national films and film archiving raw materials of national films, which received full government funding, and film archiving raw materials are transferred to permanent storage in the State Fund of films of the Russian Federation or the Russian State archive of film. Storage of raw materials of national films and film archiving source materials is determined by the Federal Executive Body in the field of cinematography. Storage of raw materials of national films, received partial state funding is set by the Treaty between the Federal Executive Body in the field of cinema and produced these national films. State Fund of films of the Russian Federation and the Russian State archive of film and ensured compliance with copyright and related rights when storing raw materials of national films, raw material of film archiving. State Fund of films of the Russian Federation and the Russian State archive of film and provide free and grant access to the original records of national film and source material of film archiving their producers. CHAPTER IV. Tax, customs, currency and OTHER FINANCIAL REGULATION of CINEMATOGRAPHY Article 12. (Repealed-Federal Act of 22/08/2004, no. 122-FZ) Article 13. Customs regulation of cinematography

Film production, film and film equipment, imported to the customs territory of the Russian Federation and exported from this territory by organizations of cinematography shall be exempted from customs duties and taxes linked to imports and exports. (Article 13 suspended for year 2001 federal law of 27.12.2000 N 150-FZ) Article 14. (Repealed-Federal Act of 22/08/2004, no. 122-FZ) Article 15. Other financial and economic regulation of cinematography cinematography Organization enjoy communal services, services organizations of postal, Telegraph and telephone communications on tariffs established for budgetary organizations. (The first part of article 15 suspended for the year 2001 in the use of postal services-Federal Act of 27.12.2000 N 150-FZ) (Part two lapsed federal law from 26.06.2007 N 118-FZ) is not taxable profit organizations regardless of organizational-legal forms and forms of property, aimed at the production of the film, printing film, movie rental and movie demonstration. Non-taxable profit share aimed at these objectives is not limited. Organizations are allowed to include the cinematography film cost amount of film production insurance costs and obtaining financial guarantees completing production of up to 9 per cent of the estimated cost of the movie. Organizations receiving federal funds, budget, in accordance with this federal law, shall be permitted to apply a treaty form of remuneration. Organizations cinematography provides loans for production, printing and national film rental on a concessional rate to 5 per cent per annum for up to two years. (Part seven lapsed federal law from 22/08/2004, no. 122-FZ) (Part of the eighth federal law repealed from 22/08/2004, no. 122-FZ) Chapter v: characteristics and PRIVATIZING CINEMATOGRAPHY Article 16. A mandatory condition of privatization of cinematography rigueur privatization cinematography is the preservation of the cinematographic work as a principal activity of privatized organizations. Article 17. Limitations on privatization of cinematography are not subject to privatization of cinematography organization specializing in showing films for children. Not subject to privatization of the organization that provides the cinematography films and is the only organization of cinematography in the locality. Article 18. (Repealed-Federal Act of 22/08/2004, no. 122-FZ) Article 19. (Repealed-Federal Act of 22/08/2004, no. 122-FZ), Article 20. (Repealed-Federal Act of 22/08/2004, no. 122-FZ), CHAP. VI. FINAL PROVISIONS Article 21. Entry into force and the order of the present Federal Act this federal law shall enter into force on the day of its official publication. Part of the third, fourth, fifth, article 12, article 13 and part of the first, third, sixth article 15 hereof are valid till December 31, 2001 year and lose force on January 1, 2002 year. (The second part of article 21 is suspended for the year 2001 in part duration article 13 and article 15-Federal Act of 27.12.2000 N 150-FZ) invite the President of the Russian Federation and to entrust the Government of the Russian Federation to bring its normative acts in compliance with this federal law. The President of the Russian Federation, b. Yeltsin, Kremlin, Moscow, N 126 August 22, 1996-FZ

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